Product Code: 46154
The application infrastructure middleware market was valued at USD 33.82 billion in 2019 and is expected to reach a value of USD 51.28 billion by 2025, registering a CAGR of 7.3% over the forecast period 2020 - 2025. The application infrastructure middleware market has been buoyed by the wider technology trends, including migration to cloud platforms and services, higher demand for near-real-time data and analytics, a shift toward an API economy, a rapid increase of Internet of Things (IoT) endpoints, and the deployment of artificial intelligence (AI).
- A new approach to application infrastructure is the way foundation organizations build their digital initiatives upon, and therefore, the robust demand in the AIM market is a testament to the occurrence of digitalization. The more companies move toward digital business models, the greater the need for modern application infrastructure to connect data, software, users, and hardware in ways that deliver new digital services or products.
- The market demand in the region continues to be the strongest among enterprises, buoyed by the increasing adoption of multi-cloud architectures to support a range of mission-critical workloads, which are now becoming the norm. Furthermore, the demand for platform as a service (PaaS), low-latency messaging, complex event processing, and in-memory data grids have buoyed the market demand.
- However, a major challenge to the market growth has been the presence of open-source software, coupled with the failure of large vendors to deliver PaaS offerings that meet the growing appetite for cloud-based automation.
Scope of the Report
Application infrastructure middleware provide solutions, such as business-to-business middleware, message oriented middleware, enterprise service bus, transaction processing monitors, and business process management. Middleware is usually placed between the operating system and the applications operating on different servers. They help to simplify the development of applications, which leverage certain services from other applications.
Key Market Trends
Cloud Deployment Mode is Expected to Hold the Largest Share
- The robust rate of the adoption of cloud services is creating an integration challenge for enterprises using older on-premise services, such as enterprise service bus (ESBs) and BPMs, as they were not designed to handle cloud integration.
- Cloud-based solutions are being offered with the provisions of multi-tenancy, such that the solution can cater to different individuals or departments (such as finance, marketing, and operations). This is reducing infrastructure and administrative costs, during integration.
- The traditional middleware solutions are reported to be quite slow and complex, for these ad hoc integration projects. The simplicity, flexibility, and real-time capabilities of cloud solutions are the major drivers of adoption of these solutions, by CIOs (Chief Information Officers) of large enterprises.
- However, among large enterprises, the departments are now being empowered to purchase, install, and utilize their own software on an ad hoc basis, especially in the case of SaaS solutions. This often requires real-time integration.
- SaaS integrations use lightweight connectors, such as JSON and API. In line with this factor, several on-premise solution providers are now utilizing the same lightweight web service protocols.
North America to Account for a Major Share
- North America is expected to occupy the highest market share during the forecast period, as it is experiencing a once-in-a-decade shift on the technological front. Moreover, a majority of the organizations have migrated the business critical infrastructure to the cloud, owing to the penetration of hybrid IT.
- World West Technologies Inc., the Canadian-based developer of enterprise integration middleware, is set to design a Build in Canada Innovation Program (BCIP) contract to deploy its software, Mobius, to BC Clinical and Support Services (BCCSS) for use in system improvements for BC's healthcare system.
- As this technology aims to interconnect the multitude of disparate British Columbia healthcare systems, further incorporation in other states is poised to drive the demand for application infrastructure middleware in healthcare.
- Banks in Canada too are deploying innovative ways for clients to make payments through their mobile devices, as the Royal Bank of Canada also introduced payment mode through Siri on iPhone and iPad.
- In an announcement in 2018, the Ministry of Public Services and Procurement and minister responsible for Shared Services Canada stated that SSC would offer public cloud computing services for the government of Canada.
Health Canada has undertaken an initiative for a more targeted pre-market review of digital health technologies, to push toward rapidly changing technologies in digital health, and to respond to fast innovation cycles. A further growth in healthcare spending in upcoming years is expected to push the e-health incorporation in the healthcare sector.
The application infrastructure middleware market is consolidated. The market landscape is defined by software leaders, such as IBM, Oracle, and Redhat that are known to hold a major market share. The dominance of these players in the market is expected to continue, owing to their brand image and expertise in the most demanding areas of applications. Cloud has been a noteworthy factor that has been separating market share gainers from share losers. Some of the key developments in the area are:
- May 2018 - IBM launched cloud data services, which is dubbed with private cloud for data. This is expected to help the clients to expand their utilization of middleware, like WebSphere, which is likely to boost the company's customer and bring high influx of revenue.
- March 2018 - Informatica launched support associated with Adobe Cloud platform connector, which is expected to encourage the utilization of the product, thereby, fueling the company's growth.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- Report customization as per the client's requirements
- 3 months of analyst support
Table of Contents
- 1.1 Study Deliverables
- 1.2 Scope of the Study
2 RESEARCH METHODOLOGY
- 2.1 Study Assumptions
- 2.2 Analysis Methodology
- 2.3 Research Phases
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Introduction to Market Drivers and Restraints
- 4.3 Market Drivers
- 4.3.1 Increasing Adoption of Cloud Services Across Enterprise
- 4.3.2 Growing Diversity in IOT Devices Driving a Greater Demand for Middleware Solutions
- 4.4 Market Restraints
- 4.4.1 Availability of Open-Source Aim Software
- 4.5 Industry Attractiveness - Porter's Five Forces Analysis
- 4.5.1 Threat of New Entrants
- 4.5.2 Bargaining Power of Buyers/Consumers
- 4.5.3 Bargaining Power of Suppliers
- 4.5.4 Threat of Substitute Products
- 4.5.5 Intensity of Competitive Rivalry
5 TECHOLOGY SNAPSHOT
6 MARKET SEGMENTATION
- 6.1 By Deployment
- 6.1.1 Cloud
- 6.1.2 On-premise
- 6.2 By Solution
- 6.2.1 Business-to-Business Middleware
- 6.2.2 Message Oriented Middleware
- 6.2.3 Enterprise Service Bus
- 6.2.4 Transaction Processing Monitors
- 6.2.5 Business Process Management
- 6.2.6 Other Solutions
- 6.3 By Organization Size
- 6.3.1 Small and Medium Enterprises
- 6.3.2 Large Enterprises
- 6.4 By End-user Industry
- 6.4.1 BFSI
- 6.4.2 IT and Telecommunication
- 6.4.3 Healthcare
- 6.4.4 Retail
- 6.4.5 Government
- 6.4.6 Other End-user Industries
- 6.5 Geography
- 6.5.1 North America
- 6.5.2 Europe
- 6.5.3 Asia-Pacific
- 6.5.4 Latin America
- 6.5.5 Middle East & Africa
7 COMPETITIVE LANDSCAPE
- 7.1 Vendor Market Share
- 7.2 Company Profiles
- 7.2.1 IBM Corporation
- 7.2.2 Microsoft Corporation
- 7.2.3 Amazon Web Services Inc.
- 7.2.4 Salesforce.com Inc.
- 7.2.5 SAP SE
- 7.2.6 Software AG
- 7.2.7 Fujitsu Ltd.
- 7.2.8 Unisys Corporation
- 7.2.9 Oracle Corporation
- 7.2.10 TIBCO Software Inc.
- 7.2.11 Informatica LLC
8 INVESTMENT ANALYSIS
9 MARKET OPPORTUNITIES AND FUTURE TRENDS